From staff reports

Gov. Taft in town to promote bond issue

Gov. Bob Taft visited Cincinnati Thursday to press for passage of his Third Frontier program.

Taft's stop was at Children's Hospital Medical Center - one of a series of medical schools, high-tech businesses, hospitals and research centers he visited over two days to promote the November ballot issue.

Already, $1.1 billion has been allocated for the Third Frontier program - $500 million to build world-class research centers on university campuses, $500 million for biomedical research grants and $100 million for a revolving loan fund.

Voters will decide whether to allow state and local governments to borrow the last portion - $500 million - for research and development.

If voters approve, the state would sell bonds and use the money generated to create - and eventually commercialize - new products.

Issue backers say the bonds can be paid off in 10 years without a tax increase or cutting state programs.

Isabel impacts local insurers

Cincinnati Financial Corp. said Thursday it expects to incur about $15 million in pre-tax losses from damage claims from Hurricane Isabel.

The Fairfield-based parent of Cincinnati Insurance said it had received 700 claims as of Wednesday and expects the claim count to reach up to 1,700.

Most claims, it said, stem from wind damage, the rest from flooded cars, spoilage and loss of business income.

The claims will put Cincinnati Financial's third-quarter catastrophic losses at an estimated $40 million. Another Cincinnati insurer, Midland Co., said Tuesday it expects to take a $10 million to $15 million hit from Isabel.

Shares in Cincinnati Financial closed at $40.41, down 53 cents.

AK Steel shares reach all-time low

Shares of struggling steel maker AK Steel hit anall-time low Thursday of $1.91 a share, off 29 cents, on nearly four times normal volume.

The Middletown-based flat-rolled carbon, stainless and electrical steel maker has faced increased scrutiny in the last week since the resignation of chairman and CEO Richard Wardrop Jr. and president John Hritz.

AK's decline came amid a down-day generally for stocks. Competitors US Steel Corp. closed down 6 percent at $18.87 and Nucor Corp. down 3 percent at $45.69.

AK Steel's all-time closing high of $28.50 was in April 1999.

The company's shares have slumped more than 70 percent this year amid continuing losses from higher costs and weaker steel demand and the company's failed attempt to acquire rival National Steel Corp.